VANCOUVER, BC, Jan. 31, 2022 /CNW/ - (AOI–TSX,
AOI–Nasdaq-Stockholm) – Africa Oil Corp. ("AOI", "Africa
Oil" or "the Company") is pleased to announce a number of positive
amendments to its Corporate Facility. View PDF Version
All lenders have approved increasing the available amount to
$100 million from the current
unutilised amount of $62 million, and
extending the availability period to December 31, 2022, from May 13, 2022. The Corporate Facility maturity
date of May 13, 2024, and interest
margins are unchanged. The lenders have also waived certain
conditions in support of the Company's plans to implement a
shareholder returns program, and have agreed to release their
security over the Company's shares in Africa Energy Corp., Eco
(Atlantic) Oil & Gas Ltd. and Impact Oil and Gas Limited.
The Corporate Facility was signed on May
13, 2021, for an amount of up to $150
million. The facility and commitments were subsequently
increased to $160 million with
$98 million drawn, to repay the
Company's Term Loan arranged in January
2020, for the acquisition of a 50% shareholding in Prime Oil
& Gas Cooperatief UA ("Prime). The Company has repaid the
balance of $98 million from the
dividends received from Prime and is currently debt-free.
Interest charges are unchanged with future drawn amounts
incurring interest at rate of LIBOR plus a margin of: 6.5% until
May 2022; 7.0% from May 2022 to May
2023; and 7.5% from May 2023
until maturity. The Corporate Facility can be utilised for general
corporate purposes, subject to customary covenants.
Keith Hill, Africa Oil's
President and CEO, commented, "The amended Corporate Facility
provides us with standby credit at attractive costs and supports
our 2022 plans, including the acquisition of producing assets.
Together with our debt-free balance sheet and our share of
dividends from Prime, we are in a very strong position to take
advantage of growth opportunities."
Pascal Nicodeme, Africa Oil's
CFO, commented, "I am delighted with the strong support of our
lenders in agreeing to the amendments. This is an endorsement of
our business and strategic plans and reflects the quality of our
assets, cash flows and financial strength. I thank our lenders for
their continuing support of Africa Oil."
Africa Oil also reports the following share capital and voting
rights update in accordance with the Swedish Financial Instruments
Trading Act. As a result of the exercise of 128,100 stock options
under the Company's stock option plan, the Company now has
474,783,455 common shares issued and outstanding with voting rights
as at January 31, 2022.
Africa Oil Corp. is a Canadian oil and gas company with
producing and development assets in deepwater Nigeria; development assets in Kenya; and an exploration/appraisal portfolio
in Africa and Guyana. The Company is listed on the Toronto
Stock Exchange and on Nasdaq Stockholm under the symbol
All dollar amounts are in United
States dollars unless otherwise indicated.
This information is information that Africa Oil Corp. is obliged
to make public pursuant to the EU Market Abuse Regulation and the
Swedish Financial Instruments Trading Act. The information was
submitted for publication, through the agency of the contact person
set out below on January 31, 2022 at
2:00 a.m. ET.
Forward Looking Information
Certain statements and information contained herein constitute
"forward-looking information" (within the meaning of applicable
Canadian securities legislation). Such statements and information
(together, "forward looking statements") relate to future events or
the Company's future performance, business prospects or
All statements other than statements of historical fact may be
forward-looking statements. Any statements that express or involve
discussions with respect to predictions, expectations, beliefs,
plans, projections, objectives, assumptions or future events or
performance (often, but not always, using words or phrases such as
"seek", "anticipate", "plan", "continue", "estimate", "expect,
"may", "will", "project", "predict", "potential", "targeting",
"intend", "could", "might", "should", "believe" and similar
expressions) are not statements of historical fact and may be
"forward-looking statements". Forward-looking statements involve
known and unknown risks, ongoing uncertainties and other factors
that may cause actual results or events to differ materially from
those anticipated in such forward-looking statements. No assurance
can be given that these expectations will prove to be correct and
such forward-looking statements should not be unduly relied upon.
The Company does not intend, and does not assume any obligation, to
update these forward-looking statements, except as required by
applicable laws. Actual results may differ materially from those
expressed or implied by such forward-looking statements.
SOURCE Africa Oil Corp.